After being forced to scrap a proposed IPO in February, US-based financial infrastructure company Pico has picked up a $200 million investment from private equity firm Golden Gate Capital.
Pico says the new capital infusion will be used to pursue strategic M&A opportunities, following previous buy outs of complementary market technology companies Corvil Analytics and Redline Trading Solutions.
Jarrod Yuster, chairman, founder and CEO of Pico, says: “Golden Gate Capital’s deep financial services experience and track record of successful acquisitions at their portfolio companies will help advance our strategy.”
Founded in 2009, Pico provides services including trading cloud infrastructure hosting to financial market participants, including 24 of the top 25 banks, 36 exchanges, and a host of hedge funds and electronic trading firms.
Existing strategic investors and clients include Goldman Sachs Asset Management, Wells Fargo Strategic Capital, J.P. Morgan, UBS, CE Innovation Capital, DRW Venture Capital, Intel Capital, Singapore-based global investor EDBI, Nomura and Chicago Trading Company.
Pico was previously set to go public through a $1.75 billion merger with fintech entrepreneur Betsy Cohen's special-purpose acquisition company (Spac). Cohen, one of the biggest players in the fintech Spac era, terminated the agreement earlier this year, citing a failure by the technology services firm to deliver required financial information.